A loopback interface is a software-only interface used to emulate an interface. It can be assigned an IP address. Loopback interfaces also have specific purposes with some routing protocols such as OSPF.
A loopback interface can be pinged, and the subnet can be advertised in routing updates. Therefore, loopback interfaces are ideal for simulating multiple networks attached to the same router. For lab purposes, our router does not need multiple LAN interfaces to demonstrate multiple subnets and VLSM. Instead, we use loopback interfaces.
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